Sales at Cape Verde tobacco company rise 23 percent in first half of 2006

27 July 2006

Praia, Cape Verde, 27 July – Sales at cape Verdean tobacco company, Sociedade Cabo-Verdiana de Tabacos (SCT), a recently privatized company, rose 23 percent year on year in the first half of 2006, the company said.

According to a filing with the Cape Verde stock exchange, in the first six months of the year the company posted turnover of 361.7 million Cape Verdean escudos (US$4.14 million).

Return on sales fell, however, with gross margins falling from 51 percent to 48 percent.

Pre-tax profits increased by 23.8 million escudos (US$271,900) against the first half of last year.

The government of Cape Verde recently privatized a further 25 percent of SCT, which is currently the most traded share on the archipelago’s stock exchange.

In December last year the government floated 22 percent of the company, along with shares in Banco Comercial do Atlântico, in order to boost market liquidity.

The company recently distributed the country’s largest ever dividend of 577 escudos (US$6.69) per share, totaling 138.6 million escudos (US$1.61 million), or 95 percent of last year’s results.

SCT’s increased share price since that time has contributed to increased trading on the Cape Verdean market, which at the beginning of June posted a record of 12.2 million Cape Verdean escudos (US$142,300) in one session. (macauhub)